twin-cylinder engine design for
volume manufacture on its produc-
tion lines in China. As part of that,
Zongshen was to provide key parts
to Norton for it to manufacture its
own more powerful version of the
motor, including the horizontally-
split crankcases, the eight-valve
DOHC cylinder head, and both
camshafts and crankshaft, leaving
Norton to source the other parts
necessary to build the engine
locally in the UK. Essentially, this
meant that Norton had found a de-
pendable Asian supplier of key parts
at affordable prices, without having
to copy its near neighbor Triumph in
establishing its own factory in Thai-
land or elsewhere to achieve this.
But this strategy is now in doubt,
following the firm's collapse into
administration.
IITHE INSOLVENCY
Norton's insolvency has been an
ever-present risk since its audi-
tor warned in the firm's published
accounts for the year to March
31, 2018, when turnover was
$8,634,313 and pre-tax profits
$43,430, that, "A material uncertain-
ty exists that may cast a significant
doubt on the company's ability to
continue as a going concern."
Indeed, before the current admin-
istration, HMRC had previously sub-
mitted another winding-up order on
Norton in March 2019, as did DHL
International in August 2019, both
later withdrawn—presumably after
payment of the amounts in question.
Viewed from outside without access
to current accounts, it's evident
that the firm essentially lacks the
necessary cashflow to manufacture
the truly excellent motorcycles it's
developed.
It's a classic example of spend-
ing too much money on R&D,
without commensurate income or
paid-up capital to support that—a
VOLUME 57 ISSUE 9 MARCH 3, 2020 P103
(Above) The Norton Domiracer
of 2014 has to be one of the
best-looking bikes of the
decade. (Right) Norton's current
Executive Director and Head
of Design, Simon Skinner,
spearheaded the technical
direction of the new Nortons.
